Growth in demand for agro-industrial products
Industrialists benefit from Syrian crisis
Demand for industrial food products, especially canned food, is witnessing a continuous increase during this year. It grew by ten to 15 percent in the last months, according to the Syndicate of Food Industries. This is due to the increase in consumption coming from Syrian refugees.
Industrial food exports also increased because several similar factories in Syria stopped operating.
Mounir Bsat, Vice President of the Syndicate, said: “Food processing factories are producing at full capacity, but they are not running more than one work shift yet.” According to him, more shifts would lead to an increase in production costs, including energy and wages.
According to Fadi Fayad, a consultant in the sector, few local factories were operating at full capacity before now. “There is higher demand for dairy products, jams, pickles, and all canned foods. But the sector did not witness a boom yet because consumers’ purchasing power is still low.”
According to Bsat, industrial food exports usually increase by about ten percent, but they witnessed a stronger spike this year.
Exports to America, Sweden, Germany, Iraq, and Saudi Arabia also increased. “Competition from Syrian factories decreased, so these countries are fulfilling their needs from the Lebanese market.”
Date Posted: Sep 13, 2013